Question
What prevents a monopolistic competition from being perfectly competitive?
A. Consumers are not knowledgeable.
B. The market is dominated by one firm.
C. Products are not identical.
D. The barriers to entry are significant.
Is it A?
A. Consumers are not knowledgeable.
B. The market is dominated by one firm.
C. Products are not identical.
D. The barriers to entry are significant.
Is it A?
Answers
Ms. Sue
No.
https://www.investopedia.com/ask/answers/040915/what-difference-between-monopolistic-market-and-perfect-competition.asp
https://www.investopedia.com/ask/answers/040915/what-difference-between-monopolistic-market-and-perfect-competition.asp
Emma
So the answer is C.
Ms. Sue
Is that what you learned from the Investopedia article?
Emma
Yes.
Ms. Sue
Then it must be the right answer.